Reports suggest that Government will introduce a new Criminal
Finance Bill which is currently being discussed by ministers.
Under the proposals, employers could be held liable for crimes
committed by staff such as money-laundering, false accounting and
The reports come after a recent speech by the Attorney General,
Jeremy Wright QC, addressed to the Cambridge Symposium on Economic
Crime on August 5, in which Mr Wright said:
"When considering the question 'where does the buck
stop?' and who is responsible for economic crime, it is clear
that the answer is to be found at every level, from the boardroom
down. Both corporations and individuals are responsible.
The intention of the Government actions I have described is not
only to prosecute and to fine for breaches of the law, but to
promote a culture of corporate responsibility so that we are
addressing the threat earlier on and not just reacting to it
through investigation and prosecution.
A change in culture is something that will take time but the
results, as we are already starting to see, will be worth the
Currently, a UK company can only be found liable for fraud and
other economic crimes if it can be proved that those at board level
i.e. the "directing mind" of the company were complicit
in the criminality.
The Director of the Serious Fraud Office, David Green CB QC,
highlighted the difficulties with the current regime in a 2014
speech when he called for the introduction of a corporate offence
of failing to prevent economic crime, to mirror the provisions of
the Bribery Act.
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With a view to promote corporate transparency and prevent misuse of corporate vehicles for illicit purposes such as corruption, tax evasion, money laundering, the Financial Action Task Force ("FATF")...
An assignment of rights under a contract is normally restricted to the benefit of the contract. Where a party wishes to transfer both the benefit and burden of the contract this generally needs to be done by way of a novation.
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